No relief at the pumps this summer
Posted Jul 19, 2013 12:00:55 AM.
This article is more than 5 years old.
OTTAWA – If you think gas prices are bad now; don’t hold your breath for any relief this summer.
“One situation is the political factors in Egypt, which controls 2.25 million barrels a day of crude that run through the Suez Canal,” EnPro Senior Petroleum Analyst Roger McKnight told 1310News. “That hiccups back into the potential of an increase in the cost of crude, and the nebulous part is speculators saying, ‘what if that happens.'”
McKnight adds that hurricane season is most active in August and the start of September, and if you couple that with the peak travel months, we shouldn’t expect relief from these prices until the fall.
Gasbuddy.com is speculating the price could hit a 140.0 cents/litre within a week, however, McKnight disputes that saying it likely won’t top 137.0 cents/litre, since the market likely can’t handle anything higher.
“There is a tipping point when the consumer, even though this is their holiday time, will say ‘enough is enough’ and demand a drop off,” McKnight said.
The average price per litre is 133.8 cents/litre and by Friday, it should rise to an average of 134.5 cents/litre.
The price of gas in Gatineau is already sitting around the 137.0 cents/litre mark, but gas is always more expensive on the Quebec side.
